94% of Indians preferred shopping offline because of connectivity troubles and slow eCommerce penetration throughout the country.
The future for the Indian retail industry is video selling.
Almost 90% of eCommerce startups fail in the first 120 days of commencement. For a successful eCommerce business, you must be a good content creator, have enough money or skills to build a functioning eCommerce website, and pay to be visible on complicated algorithms that most eCommerce platforms have.
The COVID19 pandemic pushed an already sluggish retail sector into chaos. With months of lockdowns and multiple restrictions in place, retailers have suffered huge losses. They have no choice but to shut down their physical stores and consider moving into virtual space. 80% market share belongs to two eCommerce giants making it an uphill battle for the average Indian retailer.
eCommerce Limitations for India Retailers
50% of Indians will prefer to shop online by 2026, but the Indian retail industry has been at war with the eCommerce market for years.
● High website building and maintenance costs
● Low conversion rates: Average eCommerce conversion rate: 2.27%
● Complex algorithms lead to low visibility online
● High rate of returns and refunds
● monopolistic competition from eCommerce giants
● Untrusting customers
● Low connectivity issues
● Over-all a MoneySucker
vCommerce the Future
There are a billion mobile devices in India right now, which means a billion screens to sell. The problem remains with the demanding conditions of the eCommerce market. Imagine a technology that will allow the seller to connect with customers in real-time via video calls.
vCommerce is selling and shopping through video.
vCommerce is cost-effective, easy to use, and provides shoppers with the in-store experience they missed during the pandemic. Indian retailers are known for their selling expertise and warm customer service. vCommerce enables them to sell their products through their selling skills rather than depend on eCommerce advertising and content creation.
vCommerce solutions for the Indian Retail market
● Monthly subscription with SAAS model
● Video store enables easy selling
● Connect with genuine customers
● Create a loyal customer base
● Enjoy high conversion rates (almost 40%) and better online visibility
● No need for an expensive website or eCommerce store
● Use selling skills instead of digital and social media skills
● Reduce the gap between your physical store and virtual store
● No need for expensive hardware or professional photoshoots
● No complex algorithms
● Offer the in-store experience
Will Indian shoppers adapt to vCommerce?
The Indian consumer is a frugal and careful bunch. They do not trust online stores easily and are reluctant to enter bank/card details. The COD option has been both a blessing and a bane for the Indian eCommerce industry. Impulsive buyers choose the COD option and often cancel just before delivery. Nearly 33% of COD orders are not delivered.
A Single return can cost between INR.50- INR.150 increasing the shipping expenses for the eRetailer. With video shopping, the customer has the opportunity to see the product before purchase. It also reduces the chances of impulsive cancellations and unneeded returns.
Another reason why Indian customers will love video shopping is the in-store experience through live video chats.
Even with lockdown restrictions in place, 94% of Indians preferred shopping offline because of connectivity troubles and slow eCommerce penetration throughout the country. The Indian eCommerce market is dominated by foreign players who make it impossible for the average salesperson to compete. Big eCommerce companies can afford multiple returns and refunds, high shipping costs, and bear high advertising costs while offering huge discounts and festive sales.
Retail post COVID19
Millennials are the biggest market when it comes to online sales. 50% of Indian shoppers will shift to online platforms by 2026. Indian retailers have to make the shift to survive or risk losing their businesses which have barely survived through the pandemic.
The Indian government has implemented many incentives to fast-track the digitalization of the country, which means better connectivity that will enable easy online transactions.
The pandemic has already set in motion the virtual revolution of the Indian retail sector. Whatsapp sales gained popularity during the lockdown, and many home-owned businesses popped up on social media sites like Instagram and Facebook. While consumers did not like the lack of privacy of WhatsApp, cracking the social media game is altogether a different albeit more significant challenge.
vCommerce is the perfect avenue for Indian Retailers to start selling their products online without the frills and so-called thrills of the eCommerce platform. vCommerce offers an easy solution that enables Indian retailers to do what they do best. Sell.
Source: Business World